Shares of state-run Rail Vikas Nigam Ltd (RVNL) hit record high in early trade today despite a correction in the broader market. RVNL shares rose to a high of Rs 251.40 on BSE. The stock has been rallying for the last eight sessions. Total 68.02 lakh shares of RVNL changed hands amounting to a turnover of Rs 163.23 crore.
Market cap of RVNL stood at Rs 49,623 crore on BSE. Later , the railway stock saw profitbooking and was trading 1.62% lower at Rs 236.50. RVNL shares have a one-year beta of 1.1, indicating high volatility during the period.
In terms of technicals, the relative strength index (RSI) of RVNL stands at 88.4, signaling it's trading in the overbought zone. Rail Vikas Nigam shares are trading higher than the 5 day, 10 day, 20 day, 30 day, 50 day, 100 day, 150 day and 200 day moving averages.
Analysts said the stock was likely to rise further.
"The stock may move towards Rs 250-260 levels. Support on the counter could be seen at Rs 220," Ashish Chaturmohta, Executive Director and Fund manager at JM Financial, told Business Today TV.
Shiju Koothupalakkal, Technical Research Analyst at Prabhudas Lilladher said "RVNL can carry on its upward move. Next potential targets of Rs 254-282 levels may be achievable in the coming days. The near-term support would be Rs 212 zone and only a decisive breach below Rs 202 levels would weaken the trend."
DRS Finvest founder Ravi Singh said, "The stock is looking strong on charts and may see Rs 250 level in the near term. Keep a strict stop loss placed at Rs 210."
RVNL is an executing arm of Indian Railways and works for and on behalf of the ministry for projects assigned to it for execution. It works on a turnkey basis and undertakes the full cycle of project development from conceptualisation to commissioning including stages of design, preparation of estimates, calling and award of contracts, project and contract management.
Disclaimer: Business Today provides stock market news for informational purposes only and that should not be construed as investment advice. Readers are encouraged to consult a qualified financial advisor before making any investment decisions.
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